Solar Spectrum will acquire certain assets, as well as Sungevity employees, as part of a bankruptcy court-approved sale. Source: Sungevity
Recently bankrupt Sungevity has sold assets to Solar Spectrum, a newly-established solar firm backed by Minnesota-based private equity firm Northern Pacific Group.
Northern Pacific recently paid Sungevity’s bankruptcy buyout for US$50 million after the company filed for Chapter 11 protection in March.
Under the terms of the transaction, Solar Spectrum has acquired Sungevity's infrastructure, technology, installer network, supplier warranties and certain agreements. Solar Spectrum also intends to hire the substantial majority of current Sungevity employees. The company has also acquired Sungevity's European businesses and will continue to operate them under their current branding.
Separate to the asset agreement, Solar Spectrum has designs to reach out to all current Sungevity customers in the US to offer an “attractively priced” warranty solution from May 2017.
Solar Spectrum CEO Patrick McGivern is seeing the silver lining in Sungevity’s bankruptcy as it will provide a significant business opportunity for Solar Spectrum.
“I am proud to lead a new player in the residential solar market that has a healthy balance sheet and a competitive value proposition,” he said in a statement. “We thank our employees, customers and partners for their patience and for their continued support and commitment. Together, we will focus on building a sustainable and successful business at the forefront of solar as the industry continues to grow."
Scott Honour, managing partner at Northern Pacific Group, added, "The residential solar market remains extremely attractive and fragmented, and we see ample opportunity for innovation and targeted growth through future acquisitions. We have a lot of experience working with multi-local service businesses to refine their customer acquisition efforts and create sustainable growth, and we will bring this experience to Solar Spectrum."
Following the successful launch of Energy Storage Summit USA, we are pleased to announce its return for a 2nd year. Renowned for its quality, breadth and expertise, this event features an all-encompassing range of strategic and technical sessions on the adoption and deployment of storage. Key market drivers such as the falling price of lithium-ion batteries, investment in electric vehicle infrastructure, FERC Order 841, government incentives, grid modernization, transition from dependency on the networks to a desire for autonomy and intermittent renewable sources, all add to an exciting time for the Energy Storage value chain.
Intersolar North America is the first major solar + energy storage event of the year that connects innovators and decision makers. With a dynamic exhibition floor and robust conference program, #isna2020 provides business-to-business professionals a platform to advance business, expand education, and drive networking. Immerse yourself in three days of best-in-class conference programming and special exhibits and pavilions that showcase the industry trends, innovative solutions, and emerging talent transforming the solar, energy storage, and e-mobility markets: Join us February 4-6, 2020 at the San Diego Convention Center in San Diego, California.